NEED TO REFINANCE OUT OF A BAD LOAN? READ ON..
FHA LOANS, HOME LOANS, INDUSTRY NEWS, REAL ESTATE LEGISLATION, SHASTA COUNTY, SHORT SALES, TIPS FOR BUYERS, TIPS FOR SELLERS
September 29th, 2008
One of the first elements of the housing recovery bill signed by President Bush (HR 3221) takes effect 
next week. If you, or someone you know, needs to refinance out of an ARM or other risky type loan, Wednesday, October 1st is the first day applications will be accepted for government-backed FHA loan refinances. This is a 30-year fixed rate loan, that will be based on a percentage of current market value. A borrower can expect to have lower fixed rate payments and some relief from the loss of value, the home may have experienced, during the recent housing market meltdown.
In exchange for this bailout, the borrower agrees to an equity sharing arrangement whereby the government will participate in appreciation, if any, at the time you sell the property. This is very similar to the way most of the down payment assistance programs operate.
The bottom line is borrowers in trouble may have another option than losing their home to foreclosure. This program will not work if you do not have verifiable income or your credit is horrible. However, I would suggest anyone in this predicament contact a mortgage banker up to speed with the HR 3221 bill provisions and see if this would work for you.
If you need a referral to a reputable lender qualified to take applicaions under this program, contact me:
530-224-6767 or 530-941-7492
Brad Garbutt
REALTOR/BROKER ASSOCIATE
REAL ESTATE PROFESSIONALS GMAC
QUARTER CENTURY LOCAL REAL ESTATE EXPERIENCE
Hi, Great work! This is very much helpful for my research and i hope to run through more of your posts someday! How i wish i can see you in person so i can get to know you more.